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Nigeria Property Tax Calculator

A generic annual recurring property tax estimate for Nigeria where no state-specific schedule applies, with an editable rate.

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A generic annual recurring property tax estimate where no state schedule applies.

Default 0.1%. State and LGA rates vary.

Annual property tax

Applied rate

Monthly equivalent

Why this is a state and council matter

Nigeria has no single national property tax. Recurring tax on land and buildings is set at the state and local-government level, which is why the rate varies depending on where your property sits. Lagos State runs the most developed system, the Land Use Charge, which rolls ground rent, tenement rate, and the neighbourhood improvement charge into one annual bill and has its own dedicated calculator. Most other states levy tenement or property rates through their local councils, but the schedules differ and many are not published in a tidy single table. Because there is no federal property tax, the FIRS is not the body to ask about this. The authority is your state revenue service or local government, and for Lagos specifically the Land Use Charge regime.

This tool is the catch-all for everywhere outside a known scheme. It applies a generic fallback rate of 0.1 percent of assessed value a year, which you can and should change to match whatever your own state or council actually charges. Treat the output as a planning estimate, not an official demand notice.

What the fallback rate means

The 0.1 percent default is a reasonable middle-of-the-road figure for a recurring property charge, not a statutory rate that applies anywhere by law. It is there so the tool returns a sensible number before you have looked up your local schedule. The moment you know your real rate, type it into the rate field and the estimate updates. Some councils charge a flat tenement rate by property band rather than a percentage of value, in which case you can back into an equivalent percentage by dividing the flat charge by your property's assessed value and entering that.

The calculation itself is straightforward: assessed value multiplied by the annual rate gives the yearly charge, and dividing by twelve gives a monthly equivalent for budgeting. The assessed value is the figure your local authority puts on the property, which is often below an open-market sale price, so use the assessment rather than what you think the property would fetch.

A NGN 60 million home at the default rate

Take a property assessed at NGN 60 million and the default 0.1 percent rate. The annual charge is 0.1 percent of NGN 60 million, which is NGN 60,000 a year, or NGN 5,000 a month. If your council actually charges 0.2 percent, the same property would cost NGN 120,000 a year, so the rate field is where the real sensitivity lies. Small changes in the rate move the bill more than modest changes in the assessed value.

StepAmount

Reading your own state's schedule

The single most useful thing you can do with this tool is replace the default rate with your real one. To find it, look for your state's property or tenement rate law, your local government's demand notice, or in Lagos the Land Use Charge rate for your property class. Owner-occupied homes are usually charged far less than commercial or let property, so the use of the building matters as much as its value. A common mistake is to assume the rate is uniform across a state. It rarely is, because local councils set their own tenement rates within the state framework. Another is to forget that an assessment can be appealed if it looks too high. If your demand notice seems out of line with similar properties, your state revenue service or local authority will have an objection process. Use the estimate here to sanity-check a notice before you pay it.

Does a tenant or the landlord pay property tax in Nigeria?

Recurring property tax is generally the owner's liability, not the tenant's, though some leases pass the cost through in the rent. Lagos Land Use Charge, for example, is assessed on the owner. Check your tenancy agreement, because a clause can shift who actually bears the charge, and confirm the legal liability with your local authority.

Is this the same as the stamp duty I paid when I bought?

No. Stamp duty is a one-off charge on the purchase deed at the time of acquisition, while this is a recurring annual charge for owning the property. They are separate, and this calculator only estimates the ongoing yearly cost. For the one-off duty on a purchase, use a stamp duty tool and confirm the rate with your state revenue service.

Frequently asked questions

Is there a national property tax in Nigeria?
No. Recurring property tax in Nigeria is set at the state and local-government level, so there is no single national rate. Lagos State uses its Land Use Charge, which has its own calculator. For other states, this tool applies a generic fallback rate of about 0.1% of assessed value per year, which you can change to match your local schedule. Treat the output as an estimate, not an official assessment.
Who is liable to pay property tax in Nigeria, the owner or the tenant?
Recurring property tax is generally the owner's liability. Lagos Land Use Charge, for example, is assessed on and billed to the owner of the property. Some lease agreements contain a clause that passes the charge through to the tenant as part of the rent, but the legal obligation runs to the owner. Check your tenancy agreement and confirm the position with your local authority if it is unclear.
Is the assessed value the same as the market value of my property?
Not usually. The assessed value is the figure your local authority or state revenue body assigns to the property for charge purposes, and it is often below the open-market sale price. Using a market estimate rather than the official assessment will overstate the charge. Where you have received an official demand notice, use the value stated there. Where no notice exists, use the best estimate of what the authority would assign rather than a speculative sale price.
How is the Lagos Land Use Charge different from a general property tax?
Lagos Land Use Charge is a consolidated annual levy that combines the former ground rent, tenement rate, and neighbourhood improvement charge into one bill. It uses a statutory formula based on the property's annual rental value, its location, and its use class (owner-occupied, commercial, industrial), so the effective rate varies by property type. This generic calculator does not model those distinctions. Use the dedicated Lagos Land Use Charge calculator for Lagos properties.

Related calculators

Sources

  1. FIRS — Personal Income Tax (PAYE), Federal Inland Revenue Service, Nigeria
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